Monday, August 24, 2009

Value of Third Party Online Shopping Site

.Objective presentation of multiple stores even with competitive products.
.Can offer unbiased opinions about individual store and/or product with the purpose of establishing shopper confidence.
.Can remove undesirable merchants and/or products easily to maintain quality of shopping site.
.Shoppers feel free to offer comments and feedback about their shopping experiences.
.Can publish critical review papers about certain products and/or merchant (the larger the site the more freedom to do so).

Advice to the Online Shoppers

.Know your online merchants well through objective third party information and references.
.Shop through reputable third party online shopping sites which select and filter to list only reputable merchants.
.Familiarize with merchants' purchasing processes (beware of any process change when move from site to site).
.Only deal with merchants who use secure transaction system involving credit card.
.Be careful with international sites since the laws governing them are very different (trust third party site which has done the filtering and selection).
.Always check terms and conditions (guarantee, currency used and refund policy) carefully before committing purchase.
.Read about merchants and check their quality and/or security certificates if relevant.
.Review third party offered information about merchants, products and comparisons to establish confidence.

Advice to the Online Merchants

.Provide clear and sufficient information so consumers can make an informed choice
.Take reasonable steps to ensure the consumer's choice is informed and intentional (avoid mistakes and misunderstanding)
.Publish privacy statement and protect personal information
Use secure e-commerce transaction system with fair, timely and affordable methods to resolve transaction problems
.Never use spam marketing through email or Internet
Offer third party references about safe use of e-commerce
.Display company logo and information in prominent places (especially company address and contact information)
.Exhibit terms and conditions (guarantee, currency used etc) clearly (do not use unreadable font size and large legal document)

What Are the Disadvantages of Online Shopping (versus Shopping at a Physical Store)?

Lack of touch and feel of merchandise, lack of personal attention from a salesman (*MWS Online Shopping Mart offers ClickCall service to talk to a sales representative which may be a necessity for online shopping), not able to try the merchandise on (especially clothing), lack of close quality examination (physically visiting different stores and examine the same product is assuring but costly in time), more chances to encounter fraud (disappearance of shopping site), more chances for mistakes in ordering the wrong item, slightly higher exposure of credit card security (*This is a controversial point since using CVV2 code with credit card, can be more secure or less chance of fraud.) Verification of credit card owner less rigorous (physically one can ask for other identifications).

What Are the Advantages of Online Shopping(versus Shopping at a Physical Store)?

Convenience, no pressure shopping, savings in time, consistency between advertised price and site price, no driving and parking, sometimes no cost delivery even to third party receiver, information on product comparison easily available, sometimes price comparison available online, third party shopping sites keeping merchants competitive hence offering the best products and prices, 24/7 shopping, ease in merchandise cancellation or return, sometimes tracking of shipping available, large online shopping site offering store comparison and sometimes no taxes.